Bitcoin’s (BTC) recent price action is raising concerns among traders after a Rising Wedge Breakdown on the daily chart, suggesting a potential major bearish move ahead. After reaching an All-Time High (ATH) zone of $110K-$115K, BTC is showing weakness, signaling a possible reversal.
In this article, we’ll explore the following key aspects: ✅ Rising Wedge Breakdown and Bearish Pattern ✅ Key Levels to Watch for BTC ✅ Bearish Trade Setup with Entry, Stop Loss & Targets ✅ Market Sentiment and Psychological Impact
Let’s dive into the details and analyze what lies ahead for BTC! 👇
A Rising Wedge is a bearish technical pattern that signals exhaustion of bullish momentum, followed by a sharp downside correction. Here’s how the pattern unfolded:
🔸 Higher Highs & Higher Lows: BTC formed higher highs but struggled to break above key resistance, indicating weakening bullish strength. 🔸 Converging Trendlines: The narrowing range of price action showed buyer exhaustion, with volume declining over time. 🔸 Volume Drop: Decreasing volume further confirmed that the bullish trend was losing steam. 🔸 Breakdown Confirmation: BTC broke below the lower trendline, confirming the bearish move.
The completion of this pattern suggests increased selling pressure and opens the door to a deeper correction. 📉
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2️⃣ Key Levels & Market Dynamics to Watch 📊
🔵 Resistance Zone (~$110K-$115K) BTC reached its ATH resistance level but failed to sustain the breakout. Several rejection candles near this region confirmed strong selling pressure.
🟢 Support Zone (~$78K-$80K) BTC attempted to bounce off this support, but the move lacked strength. Buyers failed to maintain control, leading to a weak rally and another rejection at higher levels.
🔻 Major Bearish Target (~$48,920) Applying the Measured Move Theory, BTC’s potential downside target is projected around $48,920, which coincides with strong historical support.
If you’re looking to short BTC following this pattern, here’s a well-defined bearish trade setup:
🔸 Entry Zone: Between $85K-$90K after a retest of the breakdown zone. 🔸 Stop Loss: Above $100K to invalidate the bearish structure. 🔸 Take Profit Targets: ✅ TP1: $75K – Minor Support ✅ TP2: $60K – Psychological Level ✅ TP3: $48,920 – Historical Support
🎯 Risk Management Tip: Since BTC’s price action can be highly volatile, it’s crucial to adjust your stop-loss dynamically to protect gains. Monitor price movements closely around the retest zones.
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4️⃣ Alternative Bullish Scenario – Can BTC Recover? 🚀
Although the primary scenario suggests a bearish continuation, there’s always room for unexpected bullish reversals. Here’s what to watch:
🔹 Bullish Reversal Above $100K: If BTC reclaims $100K+ with high volume, the bearish outlook is invalidated. 🔹 Breakout Beyond ATH ($115K): A clean breakout above $115K would signal renewed bullish strength, paving the way for new highs.
Traders should remain flexible and adjust their strategy if bullish volume surges and invalidates the bearish setup. 📈
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5️⃣ Market Sentiment & Psychological Factors 💡
📉 Bearish Sentiment Taking Over: Rising Wedges often trigger a bull trap, where buyers anticipate new highs but get caught in a sharp reversal. The recent price action suggests sellers are now in control.
⚠️ Potential Risks to Consider: 🔸 False breakdowns can happen if bullish news (such as ETF approvals or favorable macroeconomic conditions) surprises the market. 🔸 Keeping an eye on regulatory updates and institutional interest remains crucial.
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🎯 Conclusion – Is Bitcoin Headed for a Deeper Correction?
BTC’s Rising Wedge Breakdown strongly suggests that the market is primed for a deeper correction. The bearish setup highlights short opportunities below $90K, with downside targets between $48K-$50K.
However, if BTC reclaims $100K+ with strong momentum, the bearish thesis is invalid, potentially driving the price toward new highs above $115K.
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📊 Trading Recommendation: Stay Alert and Manage Risk!
Monitor price action closely and ensure that your risk management strategy is aligned with potential market volatility. Adjust your positions dynamically to protect your portfolio. 🚨
Would you like to explore more trading setups or dive deeper into BTC’s market structure? Let’s discuss! 🔥
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Crypto novice
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Bitcoin Signal
BITCOIN 35% PUMP ALERT ⚠ Coin name- #BTC Signal type- Long Based on the chart, Bitcoin appears to be trading within an ascending channel, indicating a generally bullish trend in the long term. However, short-term price action shows consolidation near the resistance zone, with RSI near neutral. Indicators suggest potential for bullish continuation, but confirmation is needed above key resistance.
The BTC.D chart shows consolidation after a sharp recovery, forming a symmetrical triangle near resistance. RSI is neutral at 51, indicating indecision. If dominance breaks upward, it signals bullish continuation. However, rejection at resistance and triangle breakdown could lead to bearish sentiment. Confirmation from volume is crucial for direction.
The TOTAL crypto market cap chart shows a cup-and-handle pattern forming, a bullish signal if the handle breaks upward. RSI is neutral at 49, indicating indecision. Consolidation near the resistance zone suggests potential for a breakout. Volume confirmation is key to validating a bullish continuation from this structure.
This liquidation heatmap reveals significant leverage at key price levels, with clustering near $99,000 and $96,000. The current consolidation suggests market indecision. High liquidations above could trigger a bullish short squeeze, while liquidations below may induce bearish pressure. Monitoring volume and breakout direction is essential for confirmation.
Entry Price- 98,238 T/P-99000 JOIN MY LIVE FOR PREMIUM SIGNALS $BTC
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BITCOIN 35% PUMP ALERT ⚠ Coin name- #BTC Signal type- Long Based on the chart, Bitcoin appears to be trading within an ascending channel, indicating a generally bullish trend in the long term. However, short-term price action shows consolidation near the resistance zone, with RSI near neutral. Indicators suggest potential for bullish continuation, but confirmation is needed above key resistance.
The BTC.D chart shows consolidation after a sharp recovery, forming a symmetrical triangle near resistance. RSI is neutral at 51, indicating indecision. If dominance breaks upward, it signals bullish continuation. However, rejection at resistance and triangle breakdown could lead to bearish sentiment. Confirmation from volume is crucial for direction.
The TOTAL crypto market cap chart shows a cup-and-handle pattern forming, a bullish signal if the handle breaks upward. RSI is neutral at 49, indicating indecision. Consolidation near the resistance zone suggests potential for a breakout. Volume confirmation is key to validating a bullish continuation from this structure.
This liquidation heatmap reveals significant leverage at key price levels, with clustering near $99,000 and $96,000. The current consolidation suggests market indecision. High liquidations above could trigger a bullish short squeeze, while liquidations below may induce bearish pressure. Monitoring volume and breakout direction is essential for confirmation.
Entry Price- 98,238 T/P-99000 JOIN MY LIVE FOR PREMIUM SIGNALS $BTC
Important 👇 Click on my profile picture to join my live stream , for 2-3 free signal. If you want premium signal you have to follow my live stream instruction.